Mutual fund : What is FATCA ?

Mutual fund : What is FATCA in MFs?

If you are a mutual fund investor, you must be getting messages from your distributor or fund house, requesting you to be FATCA compliant before the deadline of April 30, 2017.

1. What is FATCA?

FATCA, or the Foreign Account Tax Compliance Act, is a US tax initiative that requires all financial institutions, including Indian mutual funds, to re port financial transactions of US persons, or entities in which US persons hold a substantial ownership, to relevant tax authorities.

The purpose of FATCA is to encourage better tax compliance by preventing US citizens from using financial institutions outside their home country to avoid domestic taxation laws.

2. What do mutual fund investors have to do?

All individuals and entities who have opened mutual fund folios between July 1, 2014 and August 31, 2015, need to submit the FATCA self-certifications by April 30, 2017.

In case self-certifications are not submitted, such folios should prohibit the unit holder from effecting any further transactions.

Investors can update details online through websites of CAMS, Karvy , Sundaram Fund Services and Franklin Templeton, which act as registrars for mutual fund houses.

While many individuals are already compliant, it is possible that some information has not been fully captured or investors have missed something.
Hence, investors check to confirm if they are FATCA-compliant.

3. Why is this law applicable to mutual fund investments?

The government of India and the US have reached an agreement on the terms of an Inter-Governmental Agreement (IGA) to imple ment FATCA and India is now treated as having an IGA in effect from April 11, 2014. 

Indian mutual funds are required to share financial accountasset informa tion of account holders who are US tax residents.

Towards compliance with FATCA, mutual funds are required to seek additional personal, tax and beneficial owner information and cer tain certifications and doc uments from unit holders.

4. Do all investors have to do this?
All investors, including NRIs, have to provide information for FATCA.

5. What information does an investor need to provide?
Investors are expected to pro vide details such as country of tax residence, tax identification number from that country , country of birth, country of citizenship, etc at the time of initial investment or opening the folio.

In case of non-individual investors, the above mentioned information of any of the controlling persons will have to be submitted. If you have been paying taxes in any country apart from India, you need to provide the tax identification number or any such number equivalent to the PAN here. 

Src: ET, Prashant Mahesh



The National Stock Exchange (NSE)  will be delisting the following companies from May 12, 2017.

1. Deccan Chronicle

2. Coral Hub

3. Evinix Accessories (currently known as Evinix Industries)

4. Nuchem Ltd

5. Spanco Ltd

6. Parekh Platinum

7. Pasupati Fabrics

8. Pearl Engineering Polymers

9. Polar Industries

10. Vikash Metal & Power

11. Taksheel Solutions.

12. Koutons Retail

13. Ankur Drugs and Pharma

14. Ashco Niulab Industries

15. Crew BOS Products

16. Dhanus Technologies

17. Teledata Technology Solutions

18. Teledata Marine Solutions

19. IOL Netcom

Service Tax Return Filing Date Extended to April 30, 2017

Service Tax Return Filing Date Extended to April 30, 2017

 The Centre govt. has extend ed the last date for filing service tax return by 5 days to April 30, 2017 in a relief to lakhs of service providers.

“The CBEC hereby extends the date for submission of form ST-3 for the period from October 1 to March 31, 2017, from April 25 to April 30, 2017,“ the apex policy-making body of the indirect tax department said in an office order.


Nod to Provident Fund Withdrawal Without Doctor's Certificate

Nod to Provident Fund Withdrawal Without Doctor's Certificate

Over 4 crore members of the retirement fund body EPFO can now withdraw funds from their  Provident Fund  (PF) account for treatment of llness and purchasing equipment to deal with handicap without medical certificates.

The Employees' Provident Fund Scheme 1952 is amended to do away with the requirement of submission of various certificates and proformas for seeking advance for treatment of llness and purchasing equipment required in case of physical disabilities.

Hudco's Rs 1,200 crore IPO Opens on May 8, 2017

Hudco's Rs 1,200 crore IPO Opens on May 8, 2017

HUDCO  launched a Rs. 1,200-crore IPO, becoming the first Central unit to hit the market with an IPO since 2012.

It has set a price band of  Rs. 56-60 per equity share for the issue, through which the Centre will dilute 10.19% of its holding.

Social Networking Biggest Workplace Distractions ..!

Social Networking Biggest Workplace Distractions ..!

Five out of 10 employees waste 20% to 30% of their daily working hours, reveals a survey of more than 1,250 working professionals by JobBuzz, a company rating platform powered by TimesJobs

As on April 2017
 From ET

Flat Sales up 13%, Launches Increase 19% in 2017 Jan. to March

Flat Sales up 13%, Launches Increase 19% in 2017 Jan. to March

Residential property market nudged up from demonetisation woes with housing sales growing 13% for the fourth quarter of 2016-17.

The surge in the volume was primarily driven by Mumbai, Pune and Bengaluru, which together accounted for 57% of total sales across top nine cities in the March quarter, said a report.

 Total house sales increased to 51,700 units in the quarter from 43,500 units in the previous quarter.

“Residential markets seem to have recovered from the demonetisation lows with sales and launches showing healthy levels in Q4 FY17. A large part of the recovery is driven by the affordable housing segment, which has found favour after getting infrastructure status,“ said Anurag Jhanwar, business head (consulting and data insights),, and
Real estate sector in India saw a revival after demonetisation with sales jumping 13% against a 22% fall in the previous quarter across top nine cities of India, the report said. Mumbai contributed nearly 23% to the total sales, followed by Pune at 18% and Bengaluru at 16%.

Launches of new residential projects across these cities jumped 19%, the hig across these cities jumped 19%, the highest in the past eight quarters. About 51,500 units were launched in the fourth quarter of 2016-17 compared to 43,250 units during the preceding quarter. As far as launches are concerned, Mumbai topped accounting for 26% to total laun ches followed by Hyderabad at 14% and Gurgaon at 13%.

The share of affordable housing launches rose 22% riding on the infrastructure status the industry received.

“We might witness realignment of supply and demand with the implementation of Real Estate Re gulatory Act or RERA. While we might see some turbulence over the next couple of quarters, the long-term outlook remains positive,“ Jhanwar said.

Inventory overhang also eased to 38 months from 46 months in the preceding quarter. Mumbai, Bengaluru and Pune together accounted for more than 55% of the unsold inventory.

Noida has highest share of unsold inventory aged above three years; more than 65% of unsold inventory in Ahmedabad, Kolkata and Pune is in the affordable segment.

“Prices remained range-bound in the top nine cities across all the segments, with marginal annual appreciation in the range of 1% to 3%. Bengaluru, Hyderabad and Chennai witnessed a marginal appreciation in the range of 3 to 5% per annum,“ the report said.

Mahindra MF Bal Vikas Yojana - A Smart Way to Prepare for your Child's Future

Mahindra MF Bal Vikas Yojana - A Smart Way to Prepare for your Child's Future

Children today, know what they want to be at a really young age. Owing to growing exposure towards diverse professions, their aspirations too are diverse and unconventional. 

Parents must set aside a corpus to full these aspirations. Don’t let any worries stand between your children and their dreams. Presenting Mahindra Mutual Fund Bal Vikas Yojana, a smart way to prepare for your children’s future

Salient Features of the Scheme

*     Investments can be made only in the name of your Minor child

*  Contribution in the investment account can be made by all family members and friends

 * Option to lock-in investments till child attains majority

Reap the Benefits of the Balanced Portfolio

Balanced portfolio aims to maximize long term growth potential and also to protect from short term volatilities through investment in a mix of asset classes.

Investment Objective

The Scheme seeks to generate long term capital appreciation through investments in equity and equity related instruments and also income from investing in debt and money market instrument. However, there can be no assurance that the investment objective of the Scheme will be achieved. The Scheme does not assure or guarantee any returns.

Scheme Features

*         NFO opens 20th April 2017 and closes on 4th May 2017

*         Asset Allocation: Equity  40-60%, Arbitrage  5-15%, Debt  25-55%

*      Benchmark: 50% CNX Nifty + 50% CRISIL Composite Bond Fund Index

Available Sub-plans under each plan:

# Compulsory Lock-in- Under this plan, Investment will be locked-in till the Beneficiary Child is 18 years of age and can be redeemed after the child is 18 years of age or after 3 years from the date of allotment, whichever is later

#  No Lock-in- Under this plan, Investment will not be locked-in and can be redeemed at any point of time, at NAV based price, subject to exit load.

*      Minimum Amount  Rs.1,000. 

*        Maximum Amount No limit

*        SIP Minimum Rs.500 per month.

Scheme Suitable for

                Parents/Grandparents/Relatives/Well-wishers who wish to invest in a minor child’s name with long term horizon and create corpus to fulfill goals like education, marriage etc.
If you would like to know more details or to invest in the scheme, Please feel free to call at 044-42023300/+91 72008 50222

For Dakshin Capital Private Ltd
Ramakrishnan V Nayak

Dakshin Capital Private Ltd
AP-867, 2nd Street, H Block, 12th Main Road,
Annanagar, Chennai-600040Text here
Ph:- 044-42023300/26160800 (M)- 7200850222

LIC’s New Aadhaar Shila Insurance Plan – Is it Specially for Women?

LIC’s  New Aadhaar Shila Insurance Plan – Who can invest?

LIC New Aadhaar Shila Insurance Plan – Who can invest? Two days back, LIC has launched its new plan Aadhaar Shila (Plan no. 844).
 LIC Aadhaar Shila Insurance plan is non -  linked, with profits endowment plan.

Since LIC has launched 2 new plans, Aadhaar Stambh and Aadhaar Shila after long time, it is catching attention 


Bengaluru, Chennai, Hyderabad, Pune Predicted to Attract Highest Amount of Investment in Office Assets in 2017

Bengaluru, Chennai, Hyderabad, Pune Predicted to Attract Highest Amount of Investment in Office Assets in 2017: Cushman & Wakefield

Asia Pacific volume accounts for 44% of global investments, higher than North America (34%) and EMEA (22%)
·        APACremains a beacon for emerging market prospects and a hotbed for development opportunities

Mumbai, April 27, 2017 – 

With real estate investment volume in Asia Pacific expected to hit USD611 billion in 2017, India is projected to be one of the best placed among emerging markets according to Cushman & Wakefield’s The Atlas Summary 2017, which analyzes and predicts future trends in real estate investment activities across the world.

While real estate investment volumes in Asia Pacificare expected to increase only marginallyby 1.6% from the USD 601 billion in 2016, the region will still account for 44% of the total global real estate investment volumeof USD1.39 trillionexpected in 2017.
Investment Volumes (including land and multi-family, assets over USD5 million)
Volumes in 2016 (USD billion)
2017 Outlook (USD billion)
% Change
Latin America
North America
Asia Pacific

Source: Cushman & Wakefield, RCA

Mr. Siddhart Goel, Senior Director, Research Services, Cushman & Wakefield said,“The global real estate investment volumes in India amounted to 4,731 million USD in 2015 and 4,871 million USD in 2016, indicating a 3% annual increase and 2017 is expected to mark a similar investment volume. This is because global investors are optimistic that despite the withdrawal of high value bank notes resulting in a short-term fall in economics activities, the reduction in its grey economy and recent electoral gains will strengthen Prime Minister Modi’s hand to push through reforms to boost long-term economic potential. Most of the global investment for this year will be made in commercial office assets as markets in Bengaluru, Chennai, Hyderabad and Pune are well placed to outperform other cities from emerging economies in Asia Pacific.” 
Mr. Siddhart Goel,
Senior Director, Research Services,
Cushman & Wakefield

Outsourcing will continue to push demand in the leading tech hubs while co-working will add to demand in gateway cities. Some of the leading emerging market opportunities will be found in Asia, particularly if economic conditions stabilize and reforms continue. The region overall is in a stronger position than in past cycles with economic resilience generally up.

Patterns of performance will however polarise further as a function of macro-economic risks. The changing and polarizing nature of the monetary cycle and quantitative easing will add to uncertainty. Investors need to focus on the fundamentals and on what makes a city and a property work for its occupiers. Hence the current pressures on the market are only going to increase: be that the pressure to find stock, the pressure to raise prices or the pressure to find new areas of opportunity.

About Cushman & Wakefield..!

Cushman & Wakefield is a leading global real estate services firm that helps clients transform the way people work, shop, and live. 

Our 43,000 employees in more than 60 countries help investors and occupiers optimize the value of their real estate by combining our global perspective and deep local knowledge with an impressive platform of real estate solutions. 

Cushman & Wakefield is among the largest commercial real estate services firms with revenue of $5 billion across core services of agency leasing, asset services, capital markets, facility services (C&W Services), global occupier services, investment & asset management (DTZ Investors), project & development services, tenant representation, and valuation & advisory. To learn more, visit or follow @CushWake on Twitter.

For further information, please contact:
 Piyali Dasgupta
Sr. Director, Marketing & Communications, India

Ashwathi G Athilat
SSr. Manager, Marketing & Communications, India


Fixed Income Investments continues to remain attractive..!

Fixed income continues to remain attractive for investors

by Mr. Sudhir Agarwal, UTI MF

Bond markets and reading of GDP data

The market has been almost non-reactive to the GDP data. Ideally, with such a strong number, there could have been an uptick in the yield but surprisingly the market has not been at all reacting to the GDP data. Probably, it seems to be more focused on the global developments. 

The inflation outlook going forward over next one year period, demand-supply situation. After the GDP data was released, it was seen that the yields were dipping by another around 10 to 12 bps and that was more of technical thing in nature and so totally non-reactive to the GDP data in our market. 

The sense is the medium term view is that with the RBI hinting that there is neutral stance and probably that might be the end of a rate cut cycle. In that scenario, there are chances that the 10-year G-Sec yield might probably settle somewhere between 60-70 to maybe 1% over and above the RBI repo rates so hence effectively maybe in the range of around 680 to 720 quarter kind of level. In the last two days, we have seen the bond yields falling by 10-12 bps. That has been more because of the technical factor but you know over the next 10-15 days period we expect that to stabilize and we expect the bond yields to again probably rise to settle at 0.75-1% in April. 

From a fixed income investor’s perspective, ultimately they have to now probably make investment allocation based on their overall investment horizon. 

There was probably some bit of hot money which was also flowing into the debt funds with a view to making some quick money but I think still as an asset allocation that fixed income still continues to remain attractive. 

We have been advising investors to put money into accrual oriented fund depending upon their investment horizon. If the investment horizon is said six months or lesser, we are telling them to put money into liquid or ultra short term category of fund. 

For those investors, who are having six months plus kind of investment horizon and maybe up to three-four years we are advising them to seriously consider funds like short term income fund or income opportunities funds.

 So, those still continue to offer decent yield for the investor and probably make sense for an investor to put money into these funds.

About the author..
Mr. Sudhir Agrawal,
EVP - Debt Fund Manager, UTI MF

Mr. Sudhir Agrawal joined UTI AMC in 2009 after 8 years of experience. He is a CFA Charter holder from The CFA Institute, USA. He also holds a Post Graduate Diploma in Management and a Masters in Commerce. He has previously worked with CARE (Credit Analysis and Research Ltd.), Transparent Value LLC and Tata Asset Management Company Ltd in different roles. He is presently Fund Manager for UTI Treasury Advantage Fund, UTI Floating Rate Fund STP and UTI Short Term Income Fund.


Future Group founder Mr. Kishore Biyani's target Rs. 1 lakh crore

Future Group founder Mr. Kishore Biyani's target Rs. 1 lakh crore..!

He’s betting big on small stores to help him reach 1 crore (10 million) households by 2020-21 (FY21), report Mr. Abhineet Kumar and Mr. Raghavendra Kamath.
Future Group founder Mr. Kishore Biyani recently cycled from Jodhpur to Jaisalmer, in Rajasthan -- a distance of 280 km. It was part of his itinerary to visit a dozen small towns last month.

These were not pleasure trips but a sort of business recce, as Biyani gets his group ready to meet an ambitious target of selling goods worth ₹1 lakh crore annually by 2020-21.
He plans to do so by selling groceries, apparel and electronics worth ₹1 lakh every year to at least 10 million households.
These trips are helping him meet and understand the needs of potential customers. And he is betting on kirana or small stores. recently cycled from Jodhpur to Jaisalmer, in Rajasthan -- a distance of 280 km. It was part of his itinerary to visit a dozen small towns last month.

These were not pleasure trips but a sort of business recce, as Mr. Biyani gets his group ready to meet an ambitious target of selling goods worth Rs. 1 lakh crore annually by 2020-21.(FY 21)
He plans to do so by selling groceries, apparel and electronics worth Rs. 1  lakh every year to at least 10 million households.
These trips are helping him meet and understand the needs of potential customers. And he is betting on kirana or small stores.

English literature syllabus - How to write a Facebook post?

How to write a Facebook post?

The Delhi University is now planning to teach its English literature students “how to write Facebook posts”.

The varsity had recently proposed adding bestselling author Mr. Chetan Bhagat’s debut novel “Five Point Someone” as a “General Elective” paper for students of honours courses other than English, a choice that drew sharp reactions on the social media.
The university wants Facebook posts writing to be part of a course on “academic writing” with a core committee for the Choice Based Credit System in the varsity’s English department recommending the same.
The department has sent a proposal detailing the recommendations to all the colleges teaching the honors course in literature studies and has sought feedback.

5 ways how doing business will be different..?

 5 ways how doing business will be different - 

GST compliance will certainly push up cash flow requirement

* Most experts feel GST rules have the potential to trigger legal dispute for taxpayers.

With the implementation of the goods and services tax less than 75 days away -- assuming July 1 as the roll-out date -- Sudipto Dey provides a guide to how businesses can navigate the transition.

How to start a business in 60 minutes in India

How to start a business in 60 minutes in India..!

If you know what you want, all you need is 60 minutes to go live.

Starting a new business may seem like a daunting task for first time entrepreneurs.
But, if you have a plan in place, 60 minutes is all you'll need to get started.
Here are three steps to follow:

Maharashtra RERA - Real Estate (Regulation and Development) Act Rules In Place To Protect Homebuyers From May 1, 2017

Maharashtra RERA Rules In Place To Protect Homebuyers From May 1, 2017

Among small group of states and Union Territories to notify RERA; others could miss April 30 deadline

by Mr. Ramesh Nair, JLL India

With Maharashtra setting up a regulator in accordance with the Real Estate (Regulation and Development) Act – more commonly known as RERA –  it joins a small community of States that have notified their respective realty regulators to be set up for the first time ever.

With the April 30 deadline for all states to pass RERA for their respective regions looming, only 13 States and Union Territories have reportedly notified their rules so far.

While the Centre had first shown the way to states by implementing RERA in the union territories last year, only Uttar Pradesh, Gujarat, Madhya Pradesh, Odisha and Delhi followed in its footsteps by notifying RERA rules in the ensuing months for their respective regions.

Though Maharashtra’s draft RERA rules had covered all under-construction projects, irrespective of whether some of the individual towers/ phases received occupation certificate or not, it had diluted some other sections.
After activists raised objections, the Maharashtra Government decided to include these sections too. 

Similarly, buyers’ associations in both UP and Gujarat have been demanding that the States append missing sections in the State versions.

Sixteen other States – including Haryana, Punjab, Kerala, Rajasthan, Karnataka, West Bengal, Bihar, and Tamil Nadu – have reportedly prepared draft rules and are expected to notify them soon.

Protection Against Project Delays And Defects

The Act passed by Indian Parliament last year, which was expected to be implemented in its full entirety by all States, is very clear on the subject of under-construction residential projects.

Developers of ongoing projects as on the date of commencement of the Act in the respective State which have not received a completion certificates prior to the commencement of the Act will need to apply to the regulatory authority for registration of their project within three months of the commencement of the Act.

Whether all such ongoing projects get covered under the Act will, however, depend entirely on the respective State Governments.

The consumer-centric law prescribes compulsory registration of all ongoing and upcoming real estate projects, as well as penalties and punitive measures on developers who delay their projects.

All developers are required to disclose their project details on the regulator’s website, and provide quarterly updates on construction progress.
In case of project delays, the onus of paying the monthly interest on bank loans taken for under-construction flats will lie on developers – unlike earlier, when the burden fell on homebuyers.

A separate account will be used to deposit 70% of the money collected for the project’s construction, and developers can draw from it only for construction purposes. 

The appellate tribunal will hear and act on all related grievances.
RERA also states that any structural or workmanship defects brought to the notice of a promoter within a period of five years from the date of handing over possession must be rectified by the promoter, without any further charge, within 30 days.

If she / he fails to do so, the aggrieved allottee is entitled to receive appropriate compensation under RERA.

With the Central Government repeatedly nudging States to notify RERA latest by April 30 and establish their regulatory authorities and appellate tribunals, the question of how many will comply looms large.
As a disruptive and groundbreaking legislation to clear opacity in the Indian real estate sector and make it more buyer-friendly, RERA definitely needs to be implemented in letter and spirit by all the States.

About the author

 Mr. Ramesh Nair – CEO & Country Head, JLL India



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